I would suggest painting the walls with black furniture against them white. I.e. the far wall where your TV is. And then the two side walls black.
your furniture will be a great contrast and you wont feel bulky like its all built into the room.
I think that is you do two black and two white walls you will end up with a room that feels very small. Its up to you of course. I have definitely seen this set-up before.
The traffic in the room will dictate whether you go for glossy or eggshell or flat paint. If you think you would need to wipe the wall a lot, glossy would be more practical otherwise eggshell should be good enough. Flat will absorb the light the most.